The financing party refers to giving up the national debt mortgage bonds within a certain period of time, obtaining the right to use the corresponding amount of funds within the same period of time, returning the borrowed funds by repurchasing the national debt mortgage after the expiration, and paying interest according to the market interest rate at the time of transaction. Make a "buy" statement when trading. A securities lender means to give up the right to use funds for a certain period of time and obtain the amount of national debt mortgage for the corresponding period. After the maturity, the loan funds are recovered by selling the national debt mortgage, and the interest income is obtained according to the market interest rate at the time of the transaction. Make a "sell" statement when trading. According to the current business rules, when institutional investors (including brokers) need to use their book-entry treasury bonds for repurchase business, they must conduct designated transactions in the securities account of the chairman's position to be repurchased, and then register and declare the repurchase through the trading system. On the day of liquidation, the national debt settlement system will automatically convert the national debt registered in the account into standard bonds, and record them in the position of the designated bond registration chairman. After successful repurchase registration, institutional investors can conduct repurchase transactions at the seat connected by the chairman.
Standard bonds are standardized bonds used for repurchase mortgage, which are calculated by the exchange according to the stock of national debt in the securities accounts of securities institutions and according to different bond types and their respective conversion ratios. On the last business day of each quarter, the Shanghai Stock Exchange regularly announces the conversion rate of standard bonds of various cash bonds in the next quarter, and calculates the number of standard bonds that each member unit can use for treasury bond repurchase business according to the new conversion rate from the first business day of the next quarter. The Shenzhen Stock Exchange will make regular adjustments and announcements according to changes in the market value of national debt.